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Jeff Paravano, Paul Schmidt Comment on Appointment of International Tax Official at U.S. Treasury

News / September 11, 2017

Partners Jeff Paravano and Paul Schmidt are quoted by Bloomberg BNA in a story published Sept. 7, 2017. The story, “Harter Takes Major International Tax Role at Treasury,” reports on the appointment of Lafayette “Chip” Harter III as deputy assistant secretary for international tax affairs at the U.S. Treasury Department. Harter joins Treasury at a time when cross-border issues could be a critical element in upcoming tax reform discussions.

Paravano told Bloomberg that Treasury is likely to focus closely on, and perhaps even repeal, all or part of the controversial debt equity regulations aimed at preventing ”stripping” of income out of the U.S. through related-party loans. “Chip's experience with interest stripping issues and his understanding of the significant problems with the Section 385 regulations . . . are important as the administration and Congress take a look at better approaches to deal with those issues through legislation,” he said.